MPS customers to see rate decrease
By Kathy McCarty
Staff Writer
Maine Public Service customers will see a decrease in their utility bills following the Maine Public Utilities Commission announcement last week of new energy supply prices for all standard-offer service customers in the MPS service territory.
The new standard-offer price for both the residential and small commercial class and for medium commercial class is 7.3 cents per kilowatt hour (kWh), fixed for the three-year term.
Brent M. Boyles, president and CEO of Maine & Maritimes Corporation, parent company of MPS, said he’s pleased to pass along such positive news.
“Effective March 1, residential small and medium commercial customers will see a new rate of 7.3 cents per kWh, a reduction of a little over 15 percent and about an 8 percent total reduction in delivery. A bill for $100, for example, would go down to about $92,” said Boyles, noting supply is only have of one’s bill.
Medium-sized customers, according to Boyles, will see about an 18 percent decrease.
“That would be for customers about the size of the hospital or one of the colleges. This is a large piece for them. Their delivery rate is lower than residential. They currently pay about 14.2 cents per kWh. But come March 1, they’ll pay 12.5 cents per kWh. That’s about a $16 decrease per $100 of their bill — $84 instead of $100. The reduction is substantial for medium-sized customers,” said Boyles.
Large customers will also benefit from reduced supply costs.
“Large customers will see about a 10 percent reduction in their bills. Their rate will drop from 12.7 percent to 11.7 percent per kWh. Once the change takes effect, these customers will see a decrease of about $10 per $100 — $90 bill instead of $100,” Boyles said.
The new standard offer price for the large industrial class is 9 cents per kWh in the first year, moving to just over 10 cents in the second or third year of the term, according to the PUC.
The prices will be in effect for a three-year term and represent over a 15 percent reduction in price for the residential and small commercial class, over 21 percent reduction for the medium commercial class and for the large industrial class, over a 10 percent decrease in the first year of the term is expected.
“It is good news that these new standard offer prices in MPS territory represent sharp reductions in cost for northern Maine ratepayers,” said Commission Chair Jack Cashman.
The names of the suppliers selected will be withheld for two weeks, allowing time for supply arrangements to be finalized. Customers with their own energy supply arrangements that do not receive standard offer service are not affected by these changes.
“Everyone will see a reduction in their bills. This is good news for The County,” said Boyles.
